Shiba Inu Ecosystem Update 8.12.21
Shytoshi here. A lot has happened since we last spoke so it’s time to discuss.
HACKS & SECURITY FIRST DESIGN
First, the greatest hack in history took place yesterday and my heart goes out to those who lost their Shibs. We are happy we saw an amicable ending to this situation where the hacker decided to return the Shib tokens to their rightful owners. The hack itself is a grand example of why we spent so long battle testing and polishing ShibaSwap before releasing it with security as our number one concern.
ShibaSwap has 3 security features that, when combined, help to combat this type of infraction. 1. Multi-sig wallets require multiple signatures for any high level transaction. 2. Timelock gives us a 24 hour chance to stop any unusual activity that is initiated and 3. Our platform is ERC-20 ONLY which cuts down on these hacks perpetrated on cross chain platforms. This particular decision was fought hard by our community in the early days but we have stood by our ERC-20 only ethos and will remain in this space until our own blockchain (L2 Shibarium) is complete.
But the real question on everyone’s mind (and flooding my DMs) is WEN BURN. Well, let’s talk about a burn.
I have discussed a burn with Ryoshi many times in the past and he made it clear it is not ideal UNLESS under the right circumstances. I didn’t understand this at first but now after seeing other tokens with built in burns I see his point. Let’s discuss the popular burn effect known as Reflect.
Reflect is a genius bit of code that “burns” a % of any selling transaction and then redistributes a % to the holders pro rata. As the token has more volume, more tokens are burnt to a burn address and you will watch your holdings increase automatically. When I first saw this in practice I was amazed. How genius is it to just watch my wallet increase infinitely! In fact, this IS a great way to constantly burn tokens but it should be noted that the Pro Rata statement makes this mechanism a benefit for whales, as their wallet will get the lion’s share of each “reflection”. Therefore, for Shib, this is not an ideal burn mechanism because it’s not ONLY a burn, it’s a redistribution tactic.
I’ve also seen the idea of just a straight up BURN. I get messages like “Stop Fckn around Shy, burn half the supply!” To this camp of our army I want to make it clear that to do so, I’d have to purchase half the supply! Not happening. Besides, the Woofmeister already burned nearly half the supply when it was worth over $3 Billion dollars!
This leaves me with a final strategy. Small purchases over time that are burnt. To initiate this, we have encouraged many tokens and projects to #UseShibSwap and burn Shib. To do our part, we implemented a $25k Shib burn and $25k Leash Burn on every WOOF listing. Furthermore, to make sure we also take care of the community, we ask these tokens to donate $50k in their native token to be distributed to the community. We even watched a new community create a token (Ryoshi.Vision) dedicated to our founder. This token built in 1% redistribution to XShib holders into their tokenomics! We encourage these behaviors, tokenomics, and designs because this one concept will lead to a six or seven figure total payout to XSHIB holders next week. That’s huge for Shibians who aren’t even holders of a token.
When combined with our goal of over 1000 Woofable listings this year, we believe this is a good sustainable start to the WEN BURN question. It should be noted though that it is not the ending. Shibarium, Shi and Shibanet provide a myriad of burn opportunities that revolve around this “Utility Burn” concept. In this way not only does Shib (and Leash) burn, they gain utility, usage and Daily Active Users. From a long term growth perspective, I hope you can see why we chose this route to burn Shiba Inu Ecosystem tokens.
After my last post discussing the integration of Leash and Bone into our future products I received a myriad of messages inside the bat signal.
What about Shib? What’s the future of Shib?
Let me make this clear, This is Shiba! (Kicks dude into the infinite pit #300.) Or as Ryoshi would say: “Shiba is Shiba.”
In my opinion, all the work we are doing is for Shiba holders and the Shiba token. The infrastructure we build will help Shiba be accepted at more locations worldwide, give rewards to our holders and xShib holders while helping to grow the ecosystem into a large place where people happily utilize Shib tokens, products, and services. Shib isn’t a shit token, or a meme token. Shib is a global BRAND and decentralized ecosystem of loosely related communities. Brand value can be translated into dollars (and in our case into burn power or returns) rather easily when maximized. You’ve seen this with the large number of stores that sell Shib tees and other Shib products with our silent blessings. Now imagine a future where Shib is accepted alongside Shi, Leash, Bone and wBTC (amongst other tokens) on our own chain and platform. This is the future that increases utility and usage as noted above and helps us gain a place in decentralized history.
Note: Building this isn’t easy. I’ve been an entrepreneur many years and working in a truly decentralized manner is mind numbing. I can assure you that at least one proposal on my virtual desk is a hacker waiting to drain us like the hack I mentioned above. We don’t have the loyalty of new found hires like in a centralized business. We’ve seen people switch to the new hot token, or just do their best to dox me or my team for whatever nefarious reason. Ultimately, we are doing the best with the resources we have, and are trying to save our best marketing plays for when we have the structure in place to capitalize on the influx of holders and users millions in marketing dollars spend will gain us. (Not just a big pop and then back to WEN Moon. i.e. Dogecoin Superbowl commercial.) It’s a slow agonizing process and I’m grateful to be part of it.
Speaking of slow, the response for our incubator has been overwhelming. I’ve been working on the proper structure to handle the influx of businesses and artists into the incubator and will officially open it for new submissions soon. (Sooner than late April.) Feel free to send an email to email@example.com to get the process started even before we officially launch.
The goal is to have our small team of volunteers ready to explain how it all works and also be prepared to look for hackers and scammers. Next, let me give some updates.
Please note that ShibaSwap returns are now bi-weekly. This means there will be one weekend where no returns are distributed. Don’t panic, they’re coming. Remember to #UseShibaSwap as the returns are calculated based in usage of the swap.
Finally, let’s set a goal.
For the ShibArmy, we have proven that word of mouth is the best form of marketing. I’d like to challenge us all to reach 1 Million holders by the end of the year. Having a base of 1 Million holders will give Shibarium and Shibanet a powerful start that will rock the world.